Deputy Editor, WAtoday

The state government has revealed details of an independent inquiry into Peel Health Campus amid allegations of fraud and corruption.

Retired neurosurgeon Professor Bryant Stokes will conduct the inquiry, set to commence immediately, Health Minister Kim Hames announced on Thursday.

It will examine the contract between the government and Health Solutions WA, a private Singapore-based company contracted to operate the hospital, in particular allegations of illicit incentive payments to doctors.

It also will assess whether patient clinical outcomes had been affected, whether the state was getting value for money from the contract and any improvements that could be made.

Advertisement

Dr Hames said Professor Stokes would have the power to compel witnesses to give evidence, including the hospital's former executive chairman and major shareholder Jon Fogarty, who failed to appear before a parliamentary committee inquiry.

He would have access to all Department of Health and hospital records as well as information from the Attorney General and the Department of Finance.

Public hearings will not be held but the report will be made public.

The inquiry is in response to a report by the State Parliament's estimates and financial operations committee, which last week raised concerns about corruption, fraud and witness intimidation by HSWA and questioned whether the contract arrangement constituted value for money for the state.

It referred one complaint to the Corruption and Crime Commission.

Dr Hames said despite agreeing to conduct a more detailed inquiry, he was confident the hospital had been running smoothly.

"We've had some issues with allegations that are unproven," he said.

"Even if some of those allegations are true it hasn't changed the standard of service offered to the Peel region."

Dr Hames said Professor Stokes had both the medical and administrative expertise to properly carry out the review.

Opposition health spokesman Roger Cook said while Professor Stokes had experience running a medical practice it was not in line with the size of a hospital.

He said it should be a judicial inquiry.

Dr Hames said any findings of wrongdoing would be forwarded to the police.

"The government's primary concern is the standard of health care available to the Peel community. I acknowledge the dedication of medical and support staff to the people who rely on this health service," Dr Hames said.

"If this review finds any evidence of serious wrongdoing, it will be dealt with and referred to the appropriate authorities."

Dr Hames and Premier Colin Barnett had previously said an inquiry was not necessary.

Dr Hames said despite the claims, he still had confidence in a private organisation running a public hospital.